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Tesla Holiday Update: New UI for Model 3 and Y, Light Show, blind spot camera improvements & more
Just a few days before Christmas, Tesla is kicking off the holidays with a bang. This year’s Holiday Update includes a few fun surprises for Tesla owners, including new games and a few other fun features.
Teslascope, a Tesla software update tracker service, has shared that the 2021.44.25 update is being rolled out to employees for now, with a wide release following in the lead up to Christmas. Reports shared online suggest that the update works very smoothly on vehicles like the Model 3 and Model Y, however.
New Features
First off is the Light Show, which enables Tesla vehicles to dance to a choreographed light show any time of the year. The feature was a signature trick of the Model X, so it is pretty interesting that Tesla is now rolling it out to the other vehicles in its lineup. The Light Show feature can be accessed through the Toybox.
In its Holiday Update, Tesla also introduced the Customizable App Launcher, allowing owners to customize the menu bar in their infotainment systems. This should go perfectly hand-in-hand with the Model 3 and Model Y’s update UI, which now matches the interface of the Model S Plaid and new Model X that were rolled out this year.
“Drag and drop your favorite apps to any position along the bottom menu bar for easy access. To customize your menu bar, hold any icon and then drag to reorder. To adjust climate controls such as heated seats and defrost, tap on the temperature or swipe up from the bottom of the screen,” the update’s Release Notes read.
Feature Improvements
As with any update, Tesla improved a few key features, including vehicle controls, blind spot monitoring, and Waypoints.
Simplified Controls makes it easier for Tesla owners to focus on navigation, media, and the most common primary controls. The improvement should make accessing features in the infotainment system easier, so driving or operating a Tesla may be more convenient and perhaps even safer.
The Blind Spot Camera feature is probably one of the best improvements in the Tesla Holiday update, as it provides vehicles with a video feed showing their blind spot when a turn signal is activated. “You can now automatically see a live camera view of your blind spot whenever you activate the turn signal,” the Release Notes for the feature read.
The Blind Spot Camera feature will most likely improve the safety of Tesla’s vehicles. Tap Controls>Autopilot>Automatic Blind Spot Camera to enable the feature.
Tesla also made trips easier with Edit Waypoints. The navigation improvements will probably be quite useful to families taking trips this holiday. The feature allows drivers to reorder or add multiple destinations to their route. Edit Waypoints will update the arrival times for each change on the route. “To add a stop, or edit a trip, initiate a navigation route, and tap the more options button not he turn list,” wrote Tesla on the Edit Waypoints Release Notes.
New Arcade Improvements
Being a Holiday Update, 2021.44.25 is rife with a number of improvements for Tesla Theater and Tesla Arcade. Access to a popular social media platform has also been enabled.
First up is Sonic the Hedgehog, which Elon Musk himself announced on Twitter recently. Multiplayer support for The Battle for Polytopia has also been enabled, which should make in-car gaming sessions even more fun.
Sudoku has also been added to the Tesla Arcade, complete with a mode that includes a smart hint system for beginners. Also, the popular social media app TikTok is now accessible to Teslas.
Other Improvements
Update 2021.44.25 is not all fun and games. Tesla included some Cold Weather Improvements to its Holiday Update, too. Preconditioning the cabin from the Tesla Mobile App when the battery is at a lower state of charge is now enabled. First row seat heaters can now automatically regulate seat temperatures based on the cabin’s environment and control set temperature.
Managing dashcam clips is also easier, as videos can now be deleted directly from the infotainment system. Themes for the infotainment system have been rolled out, too. For instance, Dark Mode is now available for Tesla displays. Dark Mode may be a simple update, but it could make vehicles safer, as a darker display reduced the chance of screen glare for the driver.
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In a groundbreaking new report from Reuters, SpaceX is reportedly discussing merger possibilities with xAI ahead of the space exploration company’s plans to IPO later this year, in what would be a blockbuster move.
The outlet said it would combine rockets and Starlink satellites, as well as the X social media platform and AI project Grok under one roof. The report cites “a person briefed on the matter and two recent company filings seen by Reuters.”
Musk, nor SpaceX or xAI, have commented on the report, so, as of now, it is unconfirmed.
With that being said, the proposed merger would bring shares of xAI in exchange for shares of SpaceX. Both companies were registered in Nevada to expedite the transaction, according to the report.
On January 21, both entities were registered in Nevada. The report continues:
“One of them, a limited liability company, lists SpaceX and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”
The source also stated that some xAI executives could be given the option to receive cash in lieu of SpaceX stock. No agreement has been reached, nothing has been signed, and the timing and structure, as well as other important details, have not been finalized.
SpaceX is valued at $800 billion and is the most valuable privately held company, while xAI is valued at $230 billion as of November. SpaceX could be going public later this year, as Musk has said as recently as December that the company would offer its stock publicly.
The plans could help move along plans for large-scale data centers in space, something Musk has discussed on several occasions over the past few months.
At the World Economic Forum last week, Musk said:
“It’s a no-brainer for building solar-powered AI data centers in space, because as I mentioned, it’s also very cold in space. The net effect is that the lowest cost place to put AI will be space and that will be true within two to three years, three at the latest.”
He also said on X that “the most important thing in the next 3-4 years is data centers in space.”
If the report is true and the two companies end up coming together, it would not be the first time Musk’s companies have ended up coming together. He used Tesla stock to purchase SolarCity back in 2016. Last year, X became part of xAI in a share swap.
Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.
Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.
This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.
NEWS: For the first time, Tesla has revealed how many people are subscribed or have purchased FSD (Supervised).
Active FSD Subscriptions:
• 2025: 1.1 million
• 2024: 800K
• 2023: 600K
• 2022: 500K
• 2021: 400K pic.twitter.com/KVtnyANWcs— Sawyer Merritt (@SawyerMerritt) January 28, 2026
In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.
Musk said on X:
“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”
The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.
It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.
The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.
Tesla is shifting FSD to a subscription-only model, confirms Elon Musk
Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.
News
Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
Tesla confirmed its intentions to expand the Robotaxi program in the United States with an aggressive timeline that aims to send the ride-hailing service to several large cities very soon.
The Robotaxi program is currently active in Austin, Texas, and the California Bay Area, but Tesla has received some approvals for testing in other areas of the U.S., although it has not launched in those areas quite yet.
However, the time is coming.
During Tesla’s Q4 Earnings Call last night, the company confirmed that it plans to expand the Robotaxi program aggressively, hoping to launch in seven new cities in the first half of the year.
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
These details were released in the Earnings Shareholder Deck, which is published shortly before the Earnings Call:
🚨 BREAKING: Tesla plans to launch its Robotaxi service in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas in the first half of this year pic.twitter.com/aTnruz818v
— TESLARATI (@Teslarati) January 28, 2026
Late last year, Tesla revealed it had planned to launch Robotaxi in Las Vegas, Phoenix, Dallas, and Houston, but Tampa and Orlando were just added to the plans, signaling an even more aggressive expansion than originally planned.
Tesla feels extremely confident in its Robotaxi program, and that has been reiterated many times.
Although skeptics still remain hesitant to believe the prowess Tesla has seemingly proven in its development of an autonomous driving suite, the company has been operating a successful program in Austin and the Bay Area for months.
In fact, it announced it achieved nearly 700,000 paid Robotaxi miles since launching Robotaxi last June.
🚨 Tesla has achieved nearly 700,000 paid Robotaxi miles since launching in June of last year pic.twitter.com/E8ldSW36La
— TESLARATI (@Teslarati) January 28, 2026
With the expansion, Tesla will be able to penetrate more of the ride-sharing market, disrupting the human-operated platforms like Uber and Lyft, which are usually more expensive and are dependent on availability.
Tesla launched driverless rides in Austin last week, but they’ve been few and far between, as the company is certainly easing into the program with a very cautiously optimistic attitude, aiming to prioritize safety.
SpaceX reportedly discussing merger with xAI ahead of blockbuster IPO
Tesla hits major milestone with Full Self-Driving subscriptions
